CBI arrests 3 for missile project irregularities

Chennai: The CBI has arrested three
persons including two former directors of Society for Applied
Microwave Electronics Engineering and Research (SAMEER), a
central government undertaking, in connection with alleged
"criminal irregularities" in supply of modem to India`s Akash
missile project.
Cases were filed on Friday under different sections
against former directors of SAMEER, S Karunakaran and KR Kini,
after the Anti-Corruption Bureau (ACB) had filed cases under
different sections of IPC and Prevention of Corruption Act
(PCA), CBI said in a statement today.

SAMEER is an autonomous institution for Research and
Development under the Ministry of Communication and
Information Technology, Government of India, fully funded by
the Ministry and deals with sensitive defence related and
other projects, the release said.

"During the period from 2005 to 2009, Karunakaran
abused his official position and showed undue favour to Sam
Shin Precision Pvt Ltd, and awarded the contract of mass
production of Integrated Radio Line Modems (IRLMs) to be used
in Akash Missile Programme by Ministry of Defence, eliminating
the other eligible government and reputed private companies,"
the release said.
Rathinavel was a classmate of Karunakaran and the
latter had allegedly vested interest in the companies floated
by him in different names, "to which he was awarding various
contracts at SAMEER, Chennai from 2000 onwards and monitoring
their day to day affairs," it said.

"When SAMEER short listed Sam Shin Precision as the
company to be awarded the work, it was not even formed and
registered. During investigation, the role of Kini,
predecessor to Karunakaran, came to light with regard to
causing huge loss to the tune of several lakhs to the
exchequer of Government of India and hindrance to the progress
to the `Akash Missile` Project," it said.

They were produced before a court on Friday which
remanded them to custody till April 1.